US to seek extradition of former venture capitalist Iftikar Ahmed

Washington, Oct 9: The United States of America is likely to seek the extradition of Iftikar Ahmed, a former venture capitalist, who is alleged to have stolen Rs 420 crore before fleeing to India.

The Wall Street Journal states that Ahmed who fled the US in May is hiding in India. Ahmed, an IIT Delhi and Harvard Business School graduate, is alleged to have flown into India in May 2015 in violation of a judge's order in a case pertaining to criminal insider trading.

Ahmed and Amit Kanodia were pulled up by the Securities and Exchange Commission (SEC) for "illegally profiting" from the news on the proposed $2.5-billion acquisition of Cooper Tire and Rubber Company by Apollo Tyres that was later called off.

Ahmed, a former general partner at the Oak Investments Partners, had been accused of cheating his clients to the tune of several crores of rupees. He along with Kanodia had been arrested and charged.

It was alleged that Ahmed had transferred 27.5 million dollars to himself at the expense of investor funds. If convicted he faces upto 20 years in prison along with a 5 million dollar fine.

The US claims that he had, however, fled to India in violation of a court order. The US is likely to formally seek the extradition of Ahmed.

Indian agencies say that they will decide on the course of action when a formal request is made.